EGM Securities, which claims to be Kenya's first and only regulated non-dealing online forex broker, has launched what it describes as the region's first online forex trading offering in the East African country that enables trading using multiple payment channels including mobile payment channels such as M-Pesa.

The company says this is an opportunity for Kenyans to participate in global forex markets "in a strictly locally regulated environment and at lower transaction costs".

Kevin Ng'ang'a, CEO of EGM Securities, said: "Increased access to global forex markets and innovative financial offerings for Kenya's investment community is a major leap forward for the country to advancing its financial markets depth and economic growth."

"We realised there was an opportunity as many Kenyans were trading with foreign entities, which are not regulated by Kenya's Central Markets Authority, and do not provide investor protection as these are offshore entities. Being licensed by the Capital Markets Authority of Kenya, investors are afforded the provision of legitimate online Forex services."

According to EGM Securities, the trading offering will provide the market with access to macro opportunities which it lists as foreign exchange, oil, gold, other precious metals and commodities.

The forex market with daily volumes estimated at US$ 5.3 trillion is the largest financial market in the world, the company claims.

The company asserts that this development will help the country to grow its forex reserves as traders who had invested offshore have the opportunity to bring back funds and trade in a locally regulated environment.

Ng'ang'a added: "Kenya was the obvious point of entry into the region to introduce online forex trading using mobile payment channels given that the country is the most advanced economy in Central and East Africa, and it is globally renowned as the leading financial innovation hub in Africa, supported by its strong entrepreneurial culture, and importantly, Kenya has the most proactive and innovative regulator in the region.

"Private investors will benefit from broader, more liquid diversified investment portfolio offerings that include forex and Contracts for Differences (CFDs), in addition to the more traditional asset classes of cash, equities and property. Corporate and Institutional investors will benefit from a Partnership Programme," reads a statement issued by EGM Securities.

Aly-Khan Satchu, described by the company as "Kenya's foremost financial professional" and "one of the most influential investors at the Nairobi Stock Exchange" commented: "Kenya is honoured that EGM Securities chose Kenya as the first country on the African continent to launch this innovative offering. It is a vote of confidence for Kenya's financial and capital markets and regulatory environment."

In early June, at the Finnovation Kenya Summit, Dave van Niekerk, founder and executive chairman of MyBucks warned that finnovation (incorporating the rise of ICOs and non-traditional financing in Africa) is being stifled by outdated regulation.

Brian Richardson, CEO of mobile banking solutions firm WIZZIT International was quoted as saying that FinTech had the potential to exacerbate the continent's digital divide because firms roll out solutions that only benefit those with internet connectivity and higher incomes.

"In Africa there are 700 million unserved people. 700 million people are excluded. If anything innovative comes, they don't have access to a payment system. That is wrong on so many levels," he said.